GBP/USD Price Forecast – British Pound Continues to Press Major Resistance Barrier

The British pound has initially pulled back during the trading session on Thursday to show signs of weakness, and of course hesitation at the 1.42 level which has been crucial for multiple attempts over the last couple of weeks. With the jobs number coming out on Friday, it could be rather significant in its influence, as it could drive where the US dollar goes next. Obviously, there are a lot of questions when it comes to the job situation in the United States, as employers are struggling to find people to fill positions.

GBP/USD Video 04.06.21

To the upside, if we can take out the top of the Tuesday session, then the market is likely to go higher. At that point, I would anticipate that we will eventually work towards the 1.45 handle which is a large, round, psychologically significant figure. Furthermore, I think that eventually we break out above that level as well. Nonetheless, we need to see a significant daily close above the 1.42 handle in order for me to put serious money to work.

Underneath, the 1.41 level is support, so that is an area where a short-term bounce might get rebuked. After that, then the next area could be the 1.40 handle which was a significant resistance barrier and market memory should come back into play in order to offer support there as well. Furthermore, it is obviously a large, round, psychologically significant figure. With that being the case, the market is likely to continue seeing a lot of interest in that area and therefore I think that we would see a lot of buying pressure in that region.

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